How is the market? Planning to retire sometime? Select Property – The Ukiah Daily Journal

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Choosing the right home for your retirement years depends on several factors. Many people move to a smaller home, either because their economic situation requires it or because they do not want to deal with the maintenance and care of a large home. Others are moving to be closer to the conveniences they now have time for as their workdays are over. Still others choose a new home (or renovate one they have) to fully pursue a hobby or activity that they enjoy. Perhaps the most common reason for choosing a new home for retirement is proximity to children and grandchildren.

And you? What to do in retirement? To answer this question, the first step is to get a clear idea of ​​what you can afford. Review your assets and income. If you can maintain a comfortable life in your current home, you don’t need to move.

If, on the other hand, you need to cut costs, you can either downsize in your current area, or move to a less expensive location and save square footage that allows you to visit family and friends regularly, or perhaps create a space to explore. hobbies such as wood turning or oil painting. If you are not interested in looking after a large home, but would like to have enough property to have a large garden, you can do so by moving to a less expensive location.

The size of your home may not matter as much as its proximity to amenities such as a golf course, hiking and biking trails, a university with free lectures, or a vibrant city center full of shops and cafes. With the recent passage of Proposition 19, homeowners in California over 55 can shift their tax base to real estate when buying a new primary residence, so a move won’t mean they have to pay a huge real estate tax bill. And if you are thinking about buying a new home, now is the time. Interest rates are incredibly low. Your realtor can help you figure out what you can afford and where to find the amenities you need.

If you decide not to move, but to renovate your home, let me give you a little advice. Whether you plan to do the job yourself or hire a contractor, I would add about 30 percent to any cost estimate that seems realistic and reasonable. Mission creep is almost inevitable when renovating a home. For example, let’s say you plan on cooking more in retirement, so you want to update your kitchen. Rest assured, minor updates will be difficult to resist. If you’re already spending thousands of dollars on new cabinets, why not spend a few more hundred more on self-closing drawer rails? Few people can pass up an opportunity to do a little more when you are already investing so much.

If you are worried about having enough income during your retirement, you may want to consider a reverse mortgage. If you are at least 62 years old and completely own your home, you can borrow against it and you will never have to repay the loan. This is called a reverse mortgage, and it allows you to convert some of your home equity into cash. Unlike a traditional mortgage, the loan does not need to be repaid until you move out of your home or pass away.

By retirement, I plan to stay where I am, to live in the house where I raised my children. I love the proximity of my home, the view and, most importantly, the idea that my children will be able to bring their future spouses and my future grandchildren to the house where they grew up. I expect to hear the laughter of little voices and the clatter of little feet running down the hallway, probably interspersed with the occasional screams that happen when something goes wrong. I look forward to pampering my grandchildren in this wonderful home.

If you have any questions about property management or real estate, please contact me at rselzer@selzerrealty.com or call (707) 462-4000. If you have an idea for a future column, please share it with me and if I use it, I will send you a $ 25 gift certificate to Schat’s Bakery. To view previous articles, visit www.selzerrealty.com and click “How’s the Market”.

Dick Seltzer is a real estate broker who has been in the business for over 45 years.

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